As shown on the chart above, the Bollinger Bands Width remains contracted, suggesting that the 2nd board index is still consolidating. If the Bollinger Bands Width should remains contracted, the consolidation of the 2nd board index shall continue. Meanwhile, as indicated by A, the 104.79 points, which is the 50% Fibonacci Retracement Line is the current support level to the 2nd board index.

As indicated by B, volume of the 2nd board market remains below the 40-day VMA level, suggesting that the overall market participation remains low. Therefore, without sufficient inflow of market capital, the sentiment for the 2nd board index shall remains weak.

As indicated by C, the MACD histogram continue ticking lower, and the rounding top signal remains intact. Therefore, the MACD bullish signal is still losing strength. In other words, if the MACD histogram should continue falling, the market movement for the short term shall remains bearish biased.

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